How Does the Concept of “Slippage Tolerance” Relate to Front-Running on AMMs?
Slippage tolerance is the maximum percentage difference a user is willing to accept between the quoted price and the executed price. A high slippage tolerance makes a user highly vulnerable to front-running (specifically, sandwich attacks).
An attacker can easily front-run the trade, causing the victim's transaction to execute at a price within the wide tolerance range, thus maximizing the attacker's profit while still allowing the victim's transaction to succeed.